Bethesda, Maryland – June 30, 2016
Walker & Dunlop, Inc. (NYSE: WD) (the “Company”) announced today it closed a $32,543,300 loan for Vintage Burkitt Station, an apartment complex under construction in Antioch, Tennessee. This project utilized U.S. Department of Housing and Urban Development’s (HUD) 221(d)(4) new construction loan program that includes both construction and permanent financing. The permanent financing was structured as a 40- year, fixed rate, non-recourse loan. This is the first 221(d)(4) new construction loan to close in HUD’s Atlanta, Region 4 Hub office utilizing HUD’s recently released “Green and Energy Efficient Housing” initiative. Qualifying developments benefit from a significant reduction in mortgage insurance premium. Based out of the Company’s Nashville office, Managing Directors David Strange and Keith Melton led the Walker & Dunlop team. Mr. Strange stated, “HUD’s ‘Green and Energy Efficiency Housing’ initiative, coupled with the LTC increase, decreased DSC, and lower Reserve for Replacement requirements are not only game changers to the 221(d)(4) construction permanent program, but they are also very timely due to the tightening regulations on the banks’ construction lending environment. As a result of these collective advantages, developers are able to build a heavily amenitized property with a sub four percent cost of debt, creating a barrier to entry for tomorrow’s competition. For this reason, we’re observing a significant increase of aggressive bidders for newer 221(d)(4) market rate developments.” Vintage Burkitt Station will consist of a 244-unit, garden-style apartment complex situated on a 14-acre site, located in Antioch, Tennessee. The property will include ten three-story residential buildings and four two-story carriage buildings. Property amenities feature a clubhouse, cyber café, business center, large fitness center, resort-style pool with outdoor entertainment area, game room, and tot lot. Vintage Burkitt Station is the only Class-A multifamily development in the immediate area, surrounded by mostly vacant or residential land. The property is located approximately 20 minutes southeast of Nashville and is in close proximity to numerous services including Davidson County schools, public transportation, employment opportunities, and retail shopping.
About Walker & Dunlop
Walker & Dunlop (NYSE: WD), headquartered in Bethesda, Maryland, is one of the largest commercial real estate services and finance companies in the United States providing financing and investment sales to owners of multifamily and commercial properties. Walker & Dunlop, which is included in the S&P SmallCap 600 Index, has over 600 professionals in 28 offices across the nation with an unyielding commitment to client satisfaction.